Finland-headed oil refiner and renewable products producer Neste Oyj and ITOCHU Corporation and ITOCHU Corporation, one of Japan's leading "sogo shosha" conglomerates have expanded their partnership to grow the availability of sustainable aviation fuel (SAF) in Japan. In the expanded partnership, ITOCHU acts as the branded distributor of "Neste MY Sustainable Aviation Fuel" in Japan making it available first at the two largest Japanese international airports; Tokyo Haneda (HND) and Narita (NRT).
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Already in 2020, Neste, ITOCHU and All Nippon Airways Co. Ltd (ANA), Japan’s largest airline, started cooperating, establishing a SAF supply chain in Japan enabling Neste’s first SAF delivery into Asia to take place in Japan.
Through their expanded partnership, Neste and ITOCHU are able to support other domestic and international airlines as well as other fuel suppliers at Haneda (HND) and Narita International Airports (NRT), going forward.
The relationship between Neste and ITOCHU started in early 2010s when we collaborated on renewable diesel business in California, and we are very pleased to deepen the relationship further. Now, the aviation industry is one of the frontrunners committed to reducing carbon footprint, and we are excited to contribute to their efforts by increasing availability of SAF in Japan in partnership with Neste, said Tsuyoshi Matsumoto, ITOCHU’s General Manager of Petroleum Trading Department.
A 10 percent SAF target proposed
Recently, the Japanese Ministry of Land, Infrastructure, Transport, and Tourism (MLITT) submitted a roadmap to the Study Group on carbon dioxide (CO2) reduction from aircraft, recommending a target of replacing 10 percent of jet fuels consumed by Japanese airlines by 2030 with SAF.
Neste and ITOCHU are committed to supporting the aviation industry’s and Japan’s climate emission reduction targets and contribute to reaching them with the partnership.
This partnership is a major step forward in making our sustainable aviation fuel available in the Japanese market. It underlines our commitment to working together with the aviation industry to achieve its emission reduction targets. We will have a global SAF production capacity of 1.5 million tonnes per annum by the end of 2023. That includes up to 1 million tonnes of SAF production capacity in our Singapore refinery, with the capacity expansion project scheduled for start-up by the end of the first quarter of 2023. We are ready to support the Japanese and broader Asia-Pacific aviation markets in driving emission reductions, said Sami Jauhiainen, Neste’s VP APAC, Renewable Aviation.
According to Neste, its “Neste MY Sustainable Aviation Fuel” is an immediate solution for reducing the direct greenhouse gas (GHG) emissions of flying.
It can reduce GHG emissions by up to 80 percent, in its neat form, and over the life cycle, compared to fossil jet fuel as calculated with established life cycle assessment (LCA) methodologies, such as Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) methodology.
Made from sustainably sourced, 100 percent renewable waste and residue raw materials. it is a drop-in fuel that can be used with existing aircraft engines and airport fuel infrastructure, requiring no extra investment to them.